The Regional Location of Knowledge Based Economy Activities in Israel
The article analyzes the spatial location behavior of economic activity that is knowledge based, by decomposing the Knowledge-based Economy Index developed by the OECD (1999) and elaborated by Cooke and Schwartz (2003) into major components that represent groups with different characteristics. The spatial behavior is analyzed in Israel in the years 1995–2002. We find that business services and high tech services tend to concentrate in metropolitan areas. Business services are found in the main city and high tech services in the satellite urban ring, with the outer-cities becoming stronger over time. Public services supporting the knowledge-based economy are concentrated in the center of the country, though not necessarily in the principal city, and they can represent an important tool in regional policy. The high tech manufacturing is concentrated around the big cities, mainly around the main metropolis. The other knowledge-based manufacturing activities tend to leave for the periphery. Copyright Springer Science+Business Media, Inc. 2006
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